Mumbai, August 12, 2025 – Indian stock market indices Sensex and Nifty 50 are expected to open on a positive note today, following a robust rebound on Monday, August 11. The rally was fueled by strong buying in PSU banking, realty, and auto stocks, lifting investor sentiment after last week’s tariff-related volatility.
Strong Comeback by Bulls on August 11
On Monday, Bulls staged a solid comeback as both benchmark indices ended the day nearly 1% higher. The buying momentum came after a week of weakness, during which the Nifty hit a three-month low and recorded its longest weekly losing streak in five years.
- Sensex closed higher with broad-based gains across sectors.
- Nifty 50 reclaimed crucial resistance levels.
- Auto and PSU bank stocks led the rally, supported by strong institutional buying.
GIFT Nifty Signals Steady Opening
As of 8:00 AM today, GIFT Nifty was trading at 24,597, up 26 points or 0.1%, indicating a marginally higher opening for domestic equities.
Institutional Activity: FIIs vs DIIs
- Foreign Institutional Investors (FIIs): Net sellers of equity shares worth ₹1,202 crore on Monday.
- Domestic Institutional Investors (DIIs): Net buyers of equity shares worth ₹5,972 crore, helping support market sentiment.
The contrasting positions of FIIs and DIIs highlight the underlying confidence of domestic investors despite foreign outflows.
Key Levels to Watch on Nifty and Sensex Today
Nifty 50:
- Support levels: 24,480 – 24,420
- Resistance levels: 24,620 – 24,700
Sensex:
- Support levels: 81,000 – 80,750
- Resistance levels: 81,450 – 81,600
Market analysts suggest that a breakout above these resistance levels could trigger a fresh rally, while a breach of support could invite selling pressure.
Sector-Wise Performance on August 11
PSU Banking Stocks
- Strong demand for PSU bank shares drove Nifty PSU Bank index higher.
- Government’s ongoing reforms and robust credit growth outlook boosted sentiment.
Auto Sector
- Auto stocks gained as sales data remained strong and festive season demand outlook improved.
Realty Sector
- Realty index saw a surge, supported by positive home loan growth numbers and demand in residential real estate.
Global Cues Driving Market Sentiment
Positive Signals from US Markets
- Dow Jones, Nasdaq, and S&P 500 ended higher on Monday, providing a supportive backdrop for Asian markets.
Asian Markets
- Most Asian indices opened in the green today, mirroring Wall Street’s optimism.
- Lower crude oil prices are also aiding Indian markets, as they ease concerns about inflationary pressure.
Investor Strategy for August 12
Market experts recommend the following approach for traders and investors:
- For traders:
- Look for buying opportunities above 24,620 on Nifty with a target of 24,700 and 24,750.
- Maintain a strict stop-loss at 24,480.
- For investors:
- Focus on sectors showing strong momentum – PSU banks, autos, and realty.
- Gradually accumulate quality stocks on dips.
Factors to Watch in Today’s Session
- Crude Oil Prices – Brent crude remains steady; any sharp rise could weigh on market sentiment.
- Rupee Movement – Stability in the rupee could attract more domestic buying.
- Corporate Earnings – Quarterly results from key companies will guide sector-specific moves.
- Global Economic Data – US inflation numbers and China’s trade data could impact investor mood.
Expert Opinions
Anand Kumar, Market Analyst, said:
“The strong DII buying is cushioning the market against FII outflows. As long as Nifty sustains above 24,480, we expect further upside in the short term.”
Ritika Sharma, Equity Strategist, added:
“PSU banks remain our top pick for August. Improving asset quality and strong loan growth will continue to support valuations.”
Outlook for the Week
- Bullish Bias: Supported by strong domestic participation.
- Key Resistance Break: Could lead to a new all-time high attempt.
- Volatility Risk: Possible ahead of key global macroeconomic announcements.
Summary Table: Market Snapshot
| Parameter | August 12 (Pre-Market) |
|---|---|
| GIFT Nifty | 24,597 (+26 points) |
| FIIs Net Activity | -₹1,202 crore |
| DIIs Net Activity | +₹5,972 crore |
| Key Nifty Support | 24,480 – 24,420 |
| Key Nifty Resistance | 24,620 – 24,700 |
Conclusion
The Indian stock market is poised for a steady start on August 12, 2025, extending the recovery seen on August 11. While global cues remain supportive, domestic institutional buying is likely to keep the bullish sentiment intact. However, traders should keep a close watch on key technical levels and global developments to navigate intraday volatility.
